Banks need 'bare metal' recovery in face of AI risks, says BoE's Breeden
2026-10-15
Reuters
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Bank of England Deputy Governor Sarah Breeden warned that AI-enabled cyber attacks pose a systemic risk to global financial infrastructure. The BoE is urging banks to develop 'bare metal' recovery options and is surveying preparedness for quantum computing threats, highlighting the need for robust defenses against advanced AI-driven cyber threats.[AI generated]
Why's our monitor labelling this an incident or hazard?
The article discusses the plausible future risk of AI-enabled cyber attacks causing systemic disruption to financial infrastructure, which fits the definition of an AI Hazard. There is no indication that an AI Incident (actual harm) has occurred. The discussion is about risk management and preparedness, not about a realized event. Therefore, the event is best classified as an AI Hazard.[AI generated]